Monday, April 16, 2007

Reactive or Proactive Innovation?

By now, certainly you know that when someone asks an either/or question, the best answer is simply "Yes". I'd like to spend a few minutes today thinking about the benefits and rationales of innovation that is reactive, and innovation that is proactive.

Most companies have opportunities for both reactive and proactive innovation, so let's start by defining terms. Reactive innovation is innovation that waits for a good idea to be presented. The classic reactive innovation technique is a suggestion box or an email address. In "reactive" innovation, the firm expects ideas to be sent in and then reacts to those it considers good ideas. Proactive innovation is an approach that constantly seeks to find great ideas and to sponsor ideas. Proactive innovation means that the firm is constantly defining new opportunities and challenges and using the ideas generated to attempt to create new products and services based on those challenges. So, which is the "right" approach?

For a firm just starting on an innovation path, we strongly suggest starting with a "proactive" approach. This means creating a few well-defined problems, challenges or opportunities and creating a brainstorm or other method to submit ideas based on these defined challenges. Creating a context for your team and directing their thinking as they begin to innovate is important. The context helps them understand what kind of ideas your firm needs, draws bright lines to help direct scope and thinking, and demonstrates how the ideas will be used - showing that they have value. Actively seeking ideas early in the process demonstrates commitment to the innovation process as well.

Once these programs are up and running, the firm has set an expectation for innovation and demonstrated how those ideas are used. At that point a suggestion box (which is more "reactive" than proactive) can make sense. A suggestion box allows individuals to report and capture ideas of any form or type, without management's direction to solve a specific challenge or opportunity. This means that in a reactive mode, ideas will vary widely and will need more time for review and contemplation. A suggestion box is best used once the firm has some experience with proactive innovation techniques, so the organization begins to understand how to generate and submit ideas.

Clearly there are other aspects of proactive versus reactive innovation. Other factors include:

Communication and expectation - what do we expect to happen in our firm based on the innovation approach?

Investment - proactive means taking action before the first idea is generated. How do we invest in these programs and how do we fund them?

Compensation/Motivation - it's much simpler to demonstrate that management is involved and committed to a proactive innovation approach. How do we compensate and motivate people in a "reactive" approach?

As noted above, eventually both approaches are important and can run in parallel. For those just starting out, a proactive bias is in order.

44 Comments:

While I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

I think this dialog is very useful, your choice of terminology is problematic. Since the explanation of this is long, I have posted it on my site www.InnovatingToWin.com. Please, let me know what you think.

Greetings everyone, This webpage is great and so is how the matter was expanded. I like a number of the comments as properly although I would like we all keep it on subject so as add worth to the subject. It will be also encouraging to the author if all of us may share it (for some of us who use bookmarking services equivalent to a digg, twitter,..).

Greetings everyone, This webpage is great and so is how the matter was expanded. I like a number of the comments as properly although I would like we all keep it on subject so as add worth to the subject. It will be also encouraging to the author if all of us may share it (for some of us who use bookmarking services equivalent to a digg, twitter,..).

Great factors…I might be aware that as somebody who really doesn’t remark to blogs much (in truth, this can be my first post), I don’t assume the time period “lurker” may be very flattering to a non-posting reader. It’s not your fault in any respect, however perhaps the blogosphere may provide you with a greater, non-creepy name for the ninety% of us that get pleasure from reading the posts.

The closing paragraph tells it all in my opinion. I have to say that I agree with it, and probably the most fantastic factor about it's that you just left it open ended…this exhibits that you are prepared to draw in new and different opinions and that you're finally very interested to see folks getting involved within the subject. So, any alternative opinions?

Time is cash as the previous saying goes, and by reading this publish, I noticed that I saved myself a number of precious time, which would have been in any other case spent on studying low consistency data all around the almighty web. Thank you for the straight to the purpose, priceless input!

Hello Webmaster, commenters and everybody else !!! The blog was completely fantastic! Lots of nice information and inspiration, each of which we all need!Hold ‘em coming… you all do such an amazing job at such Ideas… can’t let you know how much I, for one appreciate all you do!

Good post with some helpful information! Can’t say I totally agree with all that you have urged here, however there are a very good quantity of important information you might have highlighted that can be very useful on dog training and associated topics. Please continue offering extra suggestions on this topic and associated subjects, as there are many out there like me who are attempting to get to know the ups and downs.

Hey - nice blog, just looking around some blogs, seems a fairly good platform you might be using. I’m currently utilizing WordPress for just a few of my sites but seeking to change considered one of them over to a platform just like yours as a trial run. Something in particular you'd suggest about it?

Thanks a lot for show moderately beneficial informations. Your web page is great.I am impressed by the info that you've got on this blog. It shows how very effectively you understand this subject. Bookmarked this process web web page, will arrive again again for lots more. You, my buddy, superb! I discovered just the information I beforehand seemed for all over and simply could not come across. What a preferrred internet site. Similar to this internet website your website is certainly one of my new favorite.I comparable to this information shown and it has given me some type of motivation to have accomplishment for some trigger, so preserve up the beneficial work!

I would be aware that as somebody who really doesn’t comment to blogs a lot (in actual fact, this may be my first put up), I don’t think the time period “lurker” is very flattering to a non-posting reader.

OVO is an innovation consulting firm working with Fortune 5000 firms to create repeatable,
sustainable innovation capabilities and disciplines in the "Front End" of Innovation. We provide innovation consulting and innovation training.